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Olmert 'faces corruption probe'
10/01/2007 14:46  - (SA)  

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  • Jerusalem - Beleaguered Israeli Prime Minister Ehud Olmert on Wednesday faced the possibility of yet another corruption probe, the latest in a string of high-level graft scandals to hit the country.

    With Olmert out of the country on a visit to China, Israeli media reported that a criminal investigation would be opened into his alleged abuse of influence while he was acting finance minister under his predecessor, Ariel Sharon.

    Channel 10 television reported that Attorney General Menahem Mazuz is expected to announce the probe, into allegations surrounding the privatisation of Bank Leumi, after the premier returns from his China trip.

    A justice ministry spokesperson on Wednesday declined to confirm the report, which made the front pages of most of Israel's dailies.

    "The justice ministry does not make comments when decisions are still in the process of being made," Moshe Cohen told AFP.

    "The information made public in the Israeli media is premature," Cohen said.

    Meanwhile, Olmert's entourage was incensed that the news of the potential probe broke while the premier was away.

    "The prime minister should not learn through the media that the prosecutor general had demanded he be made the object of a criminal investigation. That's out of place," a senior official accompanying Olmert on his trip to China said.

    Olmert was expected to respond to the reports later on Wednesday when he briefs reporters travelling with him in China.

    String of corruption scandals

    The premier was the subject last year of several corruption investigations involving property deals and appointments, although no formal charges have been filed against him.

    The latest probe involves the 2004 privatisation of Israel's second-largest lender, Bank Leumi. There are allegations that Olmert intervened on behalf of a businessman who was attempting to secure an interest in the bank.

    The bank was eventually sold to another company with no relation to the man in question.

    The news of the possible probe comes as Olmert's ratings are at their lowest since he officially assumed the premier's chair in May.

    A poll published last Friday showed that 77% of respondents were dissatisfied with his performance and 62% judged him incapable of handling tense situations.

    The possible charges against Olmert are the latest in a string of corruption scandals that have rocked the Jewish state.

    These include allegations of rape against President Moshe Katsav; sexual harassment against former justice minister Haim Ramon; corruption against finance minister Abraham Hirshson; and graft against Tsahi Hanegbi, chief of parliament's powerful foreign affairs and defence committee.

    The latest affair to grab the headlines broke last week and focuses on the Israeli Tax Authority. Police suspect that appointments to the ITA, including that of its chief, Jacky Matza, were influenced by powerful businessmen in exchange for promises of favourable tax treatment.

    Matza and Olmert's personal secretary and close aide of 30 years, Shula Zaken, have been placed under house arrest and at least 15 ITA officials are under investigation.

     
     

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